# A25=E() It is a life insurance models question. 1. Suppose 100 individual aged 25 purchase \$1000...

A25=E()

It is a life insurance models question.

1. Suppose 100 individual aged 25 purchase \$1000 of whole life insurance with benefits payable at death. If Z, is the present value of benefit variable for the ith individual, then Zag Z1Z2 +. Z100 is the aggregate random present value of benefits paid by the insurer. Write an expression for the expected value and variance of Zagg in terms of A25 and 2 A25

This is a simple actuarial problem. I am going to be using the standard notations to solve the same.

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